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Outward FDI from Canada and its Policy Context


  • Ram C. Acharya

    (Industry Canada)

  • Someshwar Rao

    (Industry Canada)

  • Subrata Bhattacharjee

    (National Trade & Competition Group at Heenan Blaikie LLP)

  • Leila Wright

    (National Trade & Competition Group at Heenan Blaikie LLP)


Canada was a major net importer of foreign direct investment (IFDI) prior to 1996. The stimulus for the surge in Canada's outward FDI (OFDI) came from profitable investment opportunities abroad. Canada has significantly diversified its OFDI away from the United States over the past 20 years. The financial crisis significantly affected Canada's FDI outflows, but OFDI seems to have rebounded in the second half of 2009. While Canadian investment has historically gone mainly to developed countries, recent changes in government policies seem to suggest that Canada is looking to build closer ties with developing countries as well. Canada has a longstanding commitment to multilateral cooperation and actively supports the World Trade Organization (WTO) framework as a way to promote international trade and investment. At the same time, Canada continues actively to negotiate foreign investment promotion and protection agreements (FIPAs).

Suggested Citation

  • Ram C. Acharya & Someshwar Rao & Subrata Bhattacharjee & Leila Wright, 2010. "Outward FDI from Canada and its Policy Context," Transnational Corporations Review, Ottawa United Learning Academy, vol. 2(3), pages 28-43, September.
  • Handle: RePEc:oul:tncr09:v:2:y:2010:i:3:p:28-43

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    Canada; outward FDI; policy development;


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